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Integrated assessment and management of stochastic water resources in the Murray Darling Basin

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  • Qureshi, Muhammad Ejaz
  • Connor, Jeffery D.
  • Kirby, Mac
  • Mainuddin, Mohammed

Abstract

quantity and quality issues raise concerns about sustainable use of natural resources in the basin. In particular there are concerns about damages from increasing salinity and reduced flow in the River on built and ecological assets. There is also concern that climate change, increased water taking through farm dam development, increasing use of conjunctive groundwater will exacerbate issues related the quantity of water in the rivers and the groundwater aquifers. Policy approaches to address these issues will require addressing potentially conflicting interests of multiple effected parties in a balanced way. This paper describes a modeling framework being developed for integrated assessment of impacts on diverse stakeholders of options to manage water supply and demand in the Murray Darling Basin. Two models building on the same hydrogeology – agronomic relationships are presented. One is an optimisation approach to modelling irrigator demand for water. The other is a simulation of irrigator and environmental manager behaviour in a stylised Murray Basin model with stochastic supply and price. We demonstrate application of both models to evaluation of environmental water acquisition strategies for the Murray Basin.

Suggested Citation

  • Qureshi, Muhammad Ejaz & Connor, Jeffery D. & Kirby, Mac & Mainuddin, Mohammed, 2005. "Integrated assessment and management of stochastic water resources in the Murray Darling Basin," 2005 Conference (49th), February 9-11, 2005, Coff's Harbour, Australia 137944, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare05:137944
    DOI: 10.22004/ag.econ.137944
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    References listed on IDEAS

    as
    1. Quiggin, John C., 2001. "Environmental economics and the Murray-Darling river system," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 45(1), pages 1-28.
    2. Bell, Rosalyn, 2002. "Capturing benefits from water entitlement trade in salinity affected areas: A role for trading houses?," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 46(3), pages 1-20.
    3. Mike Young & Jim McColl, 2003. "Robust Reform: Implementing robust institutional arrangements to achieve efficient water use in Australia," Natural Resource Management Economics 03_003, Policy and Economic Research Unit, CSIRO Land and Water, Adelaide, Australia.
    4. English, Ben & Brearley, Taron & Coggan, Anthea, 2004. "Environmental flow allocation and counter-cyclical trading in the River Murray System," 2004 Conference (48th), February 11-13, 2004, Melbourne, Australia 58407, Australian Agricultural and Resource Economics Society.
    5. Todd, Peter M. & Gigerenzer, Gerd, 2003. "Bounding rationality to the world," Journal of Economic Psychology, Elsevier, vol. 24(2), pages 143-165, April.
    6. Ribaudo, Marc & Horan, Richard D. & Smith, Mark E., 1999. "Economics of Water Quality Protection from Nonpoint Sources: Theory and Practice," Agricultural Economic Reports 33913, United States Department of Agriculture, Economic Research Service.
    7. Gulati, H. S. & Murty, V. V. N., 1979. "A model for optimal allocation of canal water based on crop production functions," Agricultural Water Management, Elsevier, vol. 2(1), pages 79-91, March.
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    Cited by:

    1. Kragt, Marit Ellen & Bennett, Jeffrey W., 2009. "Integrating economic values and catchment modelling," 2009 Conference (53rd), February 11-13, 2009, Cairns, Australia 47956, Australian Agricultural and Resource Economics Society.
    2. Donna Brennan, 2006. "Water policy reform in Australia: lessons from the Victorian seasonal water market ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 50(3), pages 403-423, September.
    3. Brennan, Donna C., 2006. "Water policy reform in Australia: lessons from the Victorian seasonal water market," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 50(3), pages 1-21, September.

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